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Sri Lanka confirms new terminal deal

Sri Lanka confirms new terminal deal
The Sri Lankan government has confirmed a new terminal development deal following its U-turn on a major project last month.

Cabinet approval has been granted to develop the West Container Terminal (WTC) at Colombo Port as a public-private-partnership in collaboration with the Sri Lanka Ports Authority (SLPA) and parties nominated by the governments of India and Japan. A Cabinet appointed negotiation committee and a project committee have also been established.

In February, Sri Lanka scrapped a deal to develop the East Container Terminal (ECT) of the Colombo Port, with 49% investment by India’s Adani Group and other stakeholders, deciding that ECT would be operated 100% by the SLPA. But now Adani is back in the frame.

“Accordingly, the Build, Operate and Transfer Plan approved by the Negotiating Committee have been forwarded to the High Commission of India and the Embassy of Japan requesting them to nominate investors,” said the Sri Lanka Government.

It added: “The proposal presented by Adani Port and Special Economic Zone Limited (APSEZ Consortium) has been approved by the Indian High Commission. No investor has been named by the Japanese government.”

APSEZ will work with its local representative John Keels Holding PLC and SLPA to develop the WCT project on a build, operate, and transfer basis for a period of 35 years.

Saturday Mar 6, 2021
12:09
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